Offset Pricing Monthly Market Digest – June 2019

Offset Supply Information:

All CCOs issued to date: 155.41 million
Compliance credits awaiting issuance: 23.10 million

CA and General Market Commentary:

• Oregon will not pass a Cap and Trade bill this year. Oregon’s House passed a Cap and Trade bill, and it was expected that the bill would pass out of the Senate in June given the substantial Democratic majority in the Senate.  The bill was viewed as a possible first step to linking to the CA/QC program.  However, after a heated partisan dispute that included the Republican Senators leaving the state to avoid a vote on the bill, the bill has been abandoned, at least for this legislative year.  Democratic Governor Kate Brown has vowed to use the Executive Branch to implement a Cap and Trade program, but it is unclear how far her administration can go with their actions, and likely that they would not result in a fully linkable program.